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Discover important state and local employment laws for Federal and Multi-State.No articles2024 Midyear Minimum Pay Requirement Updates
2024 Midyear Minimum Pay Requirement UpdatesThe summer will bring changes in many jurisdictions to the minimum wage/minimum salary thresholds for exemptions from minimum wage and overtime requirements, and other minimum pay requirements. Most minimum pay requirements get updated on or around January 1, or on or around July 1. As mentioned in our last edition, the most notable update includes exempt salary pay requirements increasing for exemption types at the Federal level.
Employers should review the pay requirement updates linked here and make adjustments to their employee compensation details and classifications as needed.
Read MoreEEOC Released Update Workplace Harassment Guidance
EEOC Released Update Workplace Harassment GuidanceOn April 29, 2024, the Equal Employment Opportunity Commission (EEOC) issued new enforcement guidance on harassment in the workplace. The new guidance addresses discrimination based on gender identity, sexual orientation, stereotyping, and virtual or in-person harassment in the workplace and through virtual environments and technologies.
The EEOC also released a summary of its key provisions, an FAQ on workplace harassment for employees, and a fact sheet for small businesses on preventing and addressing workplace harassment. Employers should review their anti-harassment policies, processes, and procedures that take into consideration these protections to ensure they are complying with the new guidance.
Read MoreFTC Issues Final Rule Banning Employee Noncompete Agreements
FTC Issues Final Rule Banning Employee Noncompete AgreementsOn April 23, 2024, the Federal Trade Commission (FTC) issued its final rule prohibiting non-compete agreements, with some limited exceptions. The rule has already begun to face legal challenges, and if the rule does ultimately take effect, the earliest effective date would not be until at least late August 2024. Once effective, the rule would prohibit employers from entering into non-compete clauses with workers and enforcing existing non-compete agreements, unless they cover certain senior executives (workers who earn more than $151,164 annually and are in policy-making positions). Additionally, employers will need to provide notice to covered current and former workers that their non-competes are no longer enforceable.
Although there is no immediate action required, employers should review their non-compete agreements and discuss potential next steps with their employment counsel.
Read MoreEEOC Issues Final Rule On Implementing the Pregnant Workers Fairness Act
EEOC Issues Final Rule On Implementing the Pregnant Workers Fairness ActThe Equal Employment Opportunity Commission (EEOC) recently issued final rules regarding the implementation of the Pregnant Workers Fairness Act (PWFA), which originally took effect in June 2023. The final rules cover lactation support and other accommodations for expectant workers, including fertility and abortion care. The PWFA applies to employees and applicants and requires employers to provide accommodations for current, past, and potential pregnancy-related medical conditions, including miscarriage, abortion, and postpartum complications. The PWFA requires employers to provide reasonable accommodations similar to those under the Americans with Disabilities Act (ADA). Unlike the ADA, the PWFA may also require such accommodations on a temporary basis, even if the essential functions of the job cannot be performed.
Employers should review and revise their policies and processes related to medical conditions covered under the PWFA and reasonable accommodations accordingly.
Read MoreDepartment of Labor Finalizes Salary Threshold Increases for Overtime Exempt Employees
Department of Labor Finalizes Salary Threshold Increases for Overtime Exempt EmployeesOn April 23, 2024, the U.S. Department of Labor (DOL) released final rules regarding the minimum salary threshold to qualify for certain minimum wage and overtime exemptions under the Fair Labor Standards Act (FLSA), adjusted from those originally proposed in August 2023. The first salary requirement increases will take effect on July 1, 2024, bringing the minimum weekly salary to $844 (or $43,888 per year) for the executive, administrative, and professional (EAP) exemptions and to $132,964 per year for the highly compensated employee (HCE) exemption. Additional increases for the EAP and HCE exemptions will be effective January 1, 2025. The final ruling also requires future minimum exempt salary updates every three years, as determined by US wage data.
Employers should work closely with their employment counsel on how to prepare and comply with the new minimum exempt pay requirements for their specific employee population. Justworks PEO customers can access our in-house HR Consultants to discuss strategies for manager training and employee communication.
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